Energy

Belfer Center experts on the U.S.-China relationship and Middle East issues shared thoughts on the significance of the unexpected Iran-Saudi Arabia agreement brokered by China. 

Joseph Nye writes that even at this early stage, there are at least eight lessons— some old, some new— that the world is learning (or relearning) from the war in Ukraine.

In this episode of "Intelligence Matters," host Michael Morell speaks with former senior CIA operations officer and Moscow station chief Rolf Mowatt-Larssen about the likely trajectory of the war in Ukraine, including the possibility of a negotiated peace — or dangerous escalation. Mowatt-Larssen offers insights on Putin's options, potential rifts among his intelligence agencies, and persistent rumors about the Russian leader's health. Morell and Mowatt-Larssen also discuss Western involvement in the conflict and the lingering potential for the Kremlin to use weapons of mass destruction. 

Thucydides attributed the war that ripped apart the ancient Greek world to two causes: the rise of Athenian power—and the fear that this created in the established power, Sparta. Joseph Nye advises that in order to prevent a new cold or hot war, the United States and China must avoid exaggerated fears and misperceptions about changing power relations.

Both sides of the Atlantic are converging in their assessment of the challenges China poses to transatlantic prosperity and democracy. The U.S. and Europe must now build on this convergence to advance a common strategy toward China. Only together can the U.S. and Europe, alongside other democratic nations, maintain the necessary leverage in trade, technology and multilateral engagement to hold China accountable to a set of standards that protects democratic societies and contributes to global stability.

To develop a stronger transatlantic approach toward China, the Biden administration must work to rebuild trust in the transatlantic relationship and recommit to multilateral alliances and institutions abandoned by President Trump. Europe for its part must unite and take action where it sees China exploiting its critical industries and infringing on its values. A common position on China at the EU–level and across several influential EU member states is critical to making transatlantic cooperation on China feasible.

The Trump administration’s short-sighted geo-economic crackdown on the main international oil and gas producers—be it Saudi Arabia, Russia, or Iran—not only came at the expense of economic interests of allied countries in Europe, but also did long-term harm to the United States itself, helping its global rival China. Sooner rather than later—and a new administration offers this opportunity—U.S. policymakers will have to address businesses’ growing interests in (green) investment strategies and the rapidly intensifying geopolitical rivalry with China. Transatlantic cooperation in the development of sustainable energy sources and technologies will be instrumental. A “Transatlantic New Green Deal” would allow allies to generate much-needed new economic growth after the COVID-19-related economic contraction and improve the energy security of consumer countries, curb the effect of greenhouse gases and realign the balance of power in world energy markets.

President-elect Joe Biden’s decision to create a new cabinet-level position for climate-related issues — and to choose so prominent a figure as former Secretary of State John Kerry to fill it — demonstrates Biden’s sincerity over putting climate at the very center of U.S. foreign policy. It is easy to understate the importance of this appointment, given the flurry of czars created by most new administrations.

The recent ruling of the German Constitutional Court on the ECB was an economic and political bombshell. The deep controversy that resulted – within Germany and on a European scale – illustrates that the ambiguity surrounding the euro area’s legal order and architecture may have reached its limit.

Joseph Nye advises skepticism toward claims that the pandemic changes everything. China won't benefit, and the United States will remain preeminent.

This policy brief emphasizes that the European Green Deal's effectiveness in a post Covid-19 world will require the involvement of strategic partners, especially the US. In the context of a potential US withdrawal from the Paris Agreement and the consequential vacuum, it will be even more important to engage the US in implementing the GD. In light of divergence between the US and the EU during past climate negotiations (e.g. Kyoto, Copenhagen, and Paris), we suggest a gradual approach to US engagement with GD initiatives and objectives.